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Former US Secretary of State Mike Pompeo Joins Ukrainian Defense Firm Under Investigation
Former U.S. Secretary of State Mike Pompeo has joined the advisory board of Fire Point, Ukraine’s leading defense manufacturer, as the company navigates an ongoing corruption investigation while expanding its international operations and weapons production capabilities.
Fire Point, which specializes in long-range drones capable of striking deep within Russian territory, has emerged as a crucial player in Ukraine’s defense industry since Russia’s full-scale invasion in February 2022. The company now reports approximately $1 billion in annual revenue and is constructing a new factory in Denmark to manufacture essential rocket propellant.
The appointment of Pompeo on November 12 represents a significant step in Fire Point’s efforts to enhance its international credibility. “It’s a big honor for us,” said Iryna Terekh, the company’s chief technology officer. “We decided that since we are growing into a big international company, we have to ensure we are following the clearest and best corporate standards.”
Three additional members are expected to join the advisory board as the company positions itself as a major international defense contractor. U.S. Special Envoy to Ukraine Keith Kellogg also recently visited one of Fire Point’s production facilities during a tour that included other Ukrainian defense technology companies.
In an exclusive factory tour granted to the Associated Press, Fire Point showcased its cruise missile program, known as the Flamingo or FP-5. The missile has been successfully deployed at least four times in combat operations, including strikes against an FSB base in occupied Crimea and targets in the Russian city of Oryol.
The facility, whose exact location remains confidential due to security concerns, contained numerous hollowed carbon fiber missile frames scattered across the factory floor. According to a design head identified only as Maksym, carbon fiber provides superior radar-evading capabilities compared to aluminum.
“We are studying, doing all we can to hit targets as far as we can,” Maksym explained, noting that overcoming Russian radar systems and electronic warfare remains an ongoing challenge. “We are learning from each launch to work on mistakes.”
Fire Point has benefited significantly from Denmark’s direct financing model for Ukrainian defense companies. “They did a great job helping us to secure production of critical components,” Terekh said of Denmark’s support. “Our factory in Denmark is dedicated to solve a bottleneck with solid rocket propellent.”
Despite its rapid growth and strategic importance, Fire Point faces scrutiny from Ukrainian anti-corruption watchdogs. Investigators are examining whether the company inflated component prices or drone quantities in Defense Ministry contracts for its FP-1 drone, and are looking into potential connections to Tymur Mindich, an associate of President Volodymyr Zelenskyy implicated in corruption scandals.
Critics have raised questions about the company’s seemingly overnight success, its monopoly on deep-strike drone contracts, and the opacity surrounding its ownership structure. The company’s legally registered owner is Yehor Skalyha, who has ties to the entertainment industry, similar to Mindich.
Fire Point founder Denys Shtilerman told the AP that he is the majority owner, with Skalyha holding just 2% of shares. While acknowledging that he has met Mindich several times, Shtilerman denied that the businessman has any connection to Fire Point.
The company maintains it has nothing to hide and supports the investigation. “In general it’s good they are working on this,” said Terekh. “We completely support, as a company, the fact that this investigation is happening.”
To address concerns, Fire Point has commissioned an independent audit by an international firm to examine its pricing and production processes. The investigation, which began a year ago, does not include scrutiny of the Flamingo missile program, according to anti-corruption agencies.
The Flamingo missile, priced at approximately $500,000 per unit, has attracted international support. A Czech organization called Weapons to Ukraine recently crowdfunded the purchase of one missile, which was painted with a pink flamingo emblem. The fundraising campaign reached its goal in just two days.
“We feel that they are fighting for us,” said Jan Polak, a member of the Czech organization, explaining their motivation for funding the procurement of missiles to strike Russian targets.
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11 Comments
Production mix shifting toward Business might help margins if metals stay firm.
Production mix shifting toward Business might help margins if metals stay firm.
Good point. Watching costs and grades closely.
I like the balance sheet here—less leverage than peers.
Good point. Watching costs and grades closely.
The cost guidance is better than expected. If they deliver, the stock could rerate.
I like the balance sheet here—less leverage than peers.
Good point. Watching costs and grades closely.
Exploration results look promising, but permitting will be the key risk.
Good point. Watching costs and grades closely.
Good point. Watching costs and grades closely.